61-2-702 - Assignment.

61-2-702. Assignment.

(a)  Unless otherwise provided in the partnership agreement:

     (1)  A partnership interest is assignable in whole or in part;

     (2)  An assignment of a partnership interest does not dissolve a limited partnership or entitle the assignee to become or to exercise any rights or powers of a partner;

     (3)  An assignment entitles the assignee to receive, to the extent assigned, only the distribution to which the assignor would be entitled; and

     (4)  A partner ceases to be a partner and to have the power to exercise any rights or powers of a partner upon assignment of all of his partnership interest.

(b)  The partnership agreement may provide that a partner's interest in a limited partnership may be evidenced by a certificate of partnership interest issued by the limited partnership and may also provide for the assignment or transfer of any partnership interest represented by such a certificate and make other provisions with respect to such certificates.

(c)  Unless otherwise provided in a partnership agreement and except to the extent assumed by agreement, until an assignee of a partnership interest becomes a partner, the assignee shall have no liability as a partner solely as a result of the assignment.

[Acts 1988, ch. 922, § 1; 1989, ch. 270, § 60.]